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National Association of Manufacturers (NAM) 3/15/90 [OA 4727] [1]
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26
16
2
1
THE WHITE HOUSE
Office of the Press Secretary
For Immediate Release
March 15, 1990
REMARKS BY THE PRESIDENT
TO THE NATIONAL ASSOCIATION OF MANUFACTURERS
Grand Ballroom
Ramada Renaissance Hotel
10:27 A.M. EST
THE PRESIDENT: Thank you, Dan. Thank you very much.
Dan, thank you, sir. Short and sweet, right to the point. And I'm
glad to be here. And I'm delighted to be back with this group. And
I want to salute your president -- Jerry Jasinowski.
I told Barbara that I'd be spending some time with people
who have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're addressing
the baseball lawyers?" (Laughter.)
But regrettably, baseball's "Opening Day" may not be on
the calendar yet. But the truth is, the calendar offers each of us
many "opening days" -- convenient launch points for a fresh start.
Sometimes it is a new day, a new year. And now, really, it's a new
decade -- a decade born amid the shouts of joy and triumph, a decade
full of hope, barrelling with confidence towards a new century and a
new era.
The roll call is exciting, exhilarating, and
accelerating. We call it the "Revolution of '89," but in Poland, it
took about 10 years. Then in Hungary about 10 months. East Germany,
10 weeks. Czechoslovakia, 10 days. And Bulgaria and Romania right
behind.
Six nations in six months. And from six different
tongues we heard the same one word -- freedom. The people of Central
Europe believed it. They fought for it. And they deserve the
credit.
But take that word "Freedom," pick it up out of the
newsprint, turn it over. And look on the back. And more often than
not, you'll find that same proud label that adorns the products you
produce: "Made in America."
Eight years ago, Ronald Reagan stood before this group --
your group -- and issued a bold and simple challenge. He said,
"America can serve as the catalyst for an era of unimagined human
freedom and dignity." And the cry of that great President became the
"shout heard 'round the world."
Back here, especially in Washington, there may be some
that are still plagued by doubt. Maybe in Washington. Certainly not
in Warsaw. Asked if Radio Free Europe had been important to
democracy in Poland, Lech Walesa responded with a question of his
own. "Would there be Earth without the Sun?" was his reply.
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve -- the resolve of the United
States of America, as "defenders of freedom," telling Congress that
Czechoslovakia probably wouldn't exist today if it hadn't been for
the Atlantic Alliance. And just yesterday -- I talked to him this
morning -- Chancellor Kohl told me today that just yesterday he was
speaking in East Germany, and he told them that he wouldn't be there
MORE
- 2 -
and this wouldn't be happening if it hadn't been for the United
States of America.
And no quotes are needed to tell you the role of American
persistence and American courage in standing up for liberty in Panama
and Nicaragua.
Yes, these are heady times. It's a wonderful time to be
President of the United States and to be coping with this fantastic
change that's taking place around the world. But the good news is,
it isn't only overseas. Because the Revolution of '89 marks the
triumph not only of free ideas, but also free markets. And when it
comes to free markets, America continues to lead the way.
Here again, there are doubters, and I can understand that
-- some who worry about a slowdown. And true, our economy is not
perfect. Each one of you knows that. And I don't want to paint an
unrealistic picture. But look at the facts: The United States
economy is the largest, strongest, most productive economy on Earth.
Our standard of living is one-third higher than that of West Germany
or Japan. And with less than five percent of the world's people, in
1988 Americans accounted for more than 25 percent of the world's
production. Our GNP is more than two and a half times that of the
world's number two economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity. And it is spelled "U-S-A." (Applause.)
Thanks in no small part to the commitment and imagination
of the people and the companies represented here in this room, last
year American exports of goods and services hit an all-time high --
over $600 billion. And today, the United States is once again the
world's number one exporter.
Nineteen-eighty-nine marked our seventh consecutive year
of economic growth. And today, we see GNP up. Exports up. Personal
income up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down.
The trade deficit. I'm not standing here relaxed and
saying it's perfect. The trade deficit is down. The federal deficit
-- still not happy with it -- it's down. The prime rate -- down.
And last year's unemployment rate -- down the lowest since 1973.
And the good news is reaching a broad cross-section of
Americans. Nineteen-eighty-nine unemployment rates for blacks and
teenagers were the lowest since the early '70s. And for Hispanics,
the 1989 rate was the lowest recorded since the government began
keeping separate data for this group back in 1980.
But we're not just talking about statistics and numbers.
As Dick Darman recently reminded me, "Torture numbers, and they'll
confess to anything.' (Laughter.) It would take Darman to come up
with that, but he did.
(Laughter.)
Well, what we're really talking about here is people.
People who hold the two and a half million new jobs created just
since I took office one year ago. For them, it means families and
freedom, and it means dignity and decency, because two and a half
million American jobs means two and a half million American futures.
Speaking of futures, earlier I asked one CEO what he sees
as the most lucrative growth industry in the 1990s. He said, "Being
a lawyer connected with the Trump case." (Laughter.)
Our people and our economy are strong. And so is our
resolve. And it's going to be tested soon, as the dramatic new
MORE
- 3 -
changes in the world produce dramatic new challenges in the world
market. And so we must prepare now to meet these challenges. And
our administration is committed to an agenda for growth. It's
founded upon investing in our future, and every sound investment has
its yield; America's yield is the growth dividend.
The growth dividend will provide Americans with jobs and
opportunity, higher living standards and a legacy of prosperity. So
achieving solid and sustainable growth is my most fundamental
domestic priority. And it's why I've proposed a strong agenda of
growth initiatives.
Look at -- this is a marathon, this isn't a sprint; it is
a marathon. And we can't produce the products needed to capture
world markets by focusing on results one quarter at a time. We need
to return not only to yesterday's values, but yesterday's thinking --
the long-term thinking and investment-in-the-future way of doing
business that produced the healthy climate that we enjoy today.
First, we need to bring more of America's investment
capital back into the productive economy. And lowering the cost of
capital will assure the continued investment in productive assets and
human resources that are needed to keep our manufacturing sector the
most competitive in the world.
The bottom line: It's time for Congress to pass the
capital gains tax cut. Here's what we're up against. Japan, capital
gains rate, five percent; South Korea, zero; Taiwan, zero; West
Germany, zero; Singapore, zero; Hong Kong, zero. And the list goes
on. And we need your support for this critical tax cut. And America
wants it done right. America wants it done responsibly. And America
wants it done now. (Applause.)
It means competitiveness and it means jobs. And so let
them tell me that I'm favoring some tax cut for the rich; I am
favoring jobs for the working man and woman in this country.
And second, we need to keep these interest rates down.
And we are committed to helping that process by going to the heart of
the matter. We submitted a budget that will continue to bring the
federal deficit down. And today I call on the budget committees to
fulfill their legal responsibilities and come up with a budget
resolution by April 1st. That is two weeks away. And it's time to
act -- the time to bring the deficit down.
And third, America needs a booster shot of new ideas
along with the infusion of new capital that our tax cut -- capital
gains differential will provide -- matching investment capital with
intellectual capital. And so I call on Congress to help sharpen
America's competitive edge: double the budget of the National
Science Foundation; bring funding for research and development to a
record high; make the research and experimentation tax credit
permanent; and expand the Eisenhower education grants for math and
science. (Applause.)
And fourth, we must stand behind our work force and the
quality of our products. American workers today are good workers --
best in the world. But we need to keep pace. Their children are the
workers of tomorrow and we owe them a better education, with an
emphasis on basic skills, the sciences, math and engineering.
And we're going to do this in partnership with the
American governors and schools, giving those in need a fair start
through Project Head Start, raising our high school graduation rates
to at least 90 percent. And in science and math, our goal is
unambiguous -- first in the world by the year 2000. You see, we've
got to reestablish standards and reestablish expectations -- the kind
of quality control so essential to everything that America produces.
Quality is something that you -- you understand it. You
MORE
- 4 -
understand it better than most Americans. And quality in
manufacturing and quality in education are intertwined. These
goals are an important step towards restoring quality in education.
They help focus our efforts less on input -- the amount of money that
goes into our schools -- and more on output, the quality of the
student that comes out.
The kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like those
named after the late Mac Baldrige.
It's also spurred on by efforts to ensure a literate work
force. We salute manufacturers' efforts like the one that Barbara,
my wife, visited in Michigan recently -- a model of cooperation
between the Ford Motor Company and the United Auto Workers. So many
more like it that you all are involved in.
And finally, it's essential that we have a drug-free work
force. One way to stop drugs at work is to make sure that it never
starts. Pre-employment drug screening -- because if you're not part
of the solution, you're part of the problem.
A drug-impaired work force is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one.
So next I call for Congress to act now to make the U.S.
marketplace work better through two basic reforms: product-liability
reform -- to increase our competitiveness without compromising safety
-- (applause) -- and antitrust reform -- to remove obstacles to joint
production ventures by U.S. companies. (Applause.)
As I've studied the problem and trying to work with
Congress on it and working with our environmentalists and business
people, I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are invaluable
assets, and like any other assets they need to be maintained in order
to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new
Clean Air Act. Two weeks ago, we reached a breakthrough -- a
bipartisan agreement to untangle the web of regional politics that
has stopped clean air. I am very pleased to compliment the Senate
leadership for their very constructive negotiations. And today I
call upon the Senate to now pass Clean Air -- to stand by the
agreement -- and to protect our environment without saddling the bill
with new subsidies and cumbersome rules. (Applause.)
I mentioned self-inflicted burdens and, of course, not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need for
action on what we call "Structural Impediments Initiative" to break
down non-tariff barriers to the Japanese market. And we are pressing
hard to get the Japanese government to address specific trade
categories. We must move aggressively to open markets, not just in
Japan but around the world and expand our share of global trade. For
those of you who follow the Japanese market, you'll agree with me
that we need to have more openness there, I can tell you not only
were the Kaifu talks good, but the talks that we had with the former
Prime Minister Takeshita when he was here just a handful of days ago.
We have got to have them understand the seriousness of the problem we
face.
I still believe that for far-reaching, fundamental reform
our best hope is the proposals that we have made in the Uruguay round
of the GATT negotiations. We're determined to make a level playing
field. Let America compete in an arena of fair trade, and we will
MORE
- 5 -
take on anyone, anytime, anyplace. (Applause.)
As in Berlin, barriers are coming down all over the
world. It took years of persistence, but the ideas championed by
America -- freedom, democracy, competition and investment -- are
flourishing because they work, because they are the best. It can be
the same for American goods.
In 1986, on the eve of July 4th, a single blue laser
split the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a reborn Statue of Liberty. The torch has
been held high ever since. And today that light continues to inspire
hope from Panama to Prague, from Moscow to Managua.
Somehow, a recent bit of news seems fitting: the bald
eagle -- the American eagle -- may soon come off the endangered
species list. Ladies and gentlemen, America is back. And this time
we are back to stay. And I look forward to working with this
organization, your member companies, to doing what we can in
government to facilitate free and fair trade to help maintain and
strengthen an economy that is good for the working man and the
working woman of this country.
Thank you for inviting me over. And God bless you. And
God bless our great country. Thank you very much. (Applause.)
END
10:49 A.M. EST
NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
THANK YOU, DAN. AND I WANT TO SALUTE YOUR
PRESIDENT -- JERRY JASINOWSKI.
I TOLD BARBARA I'D BE SPENDING SOME TIME WITH
PEOPLE WHO HAVE RISEN TO THE TOP OF THE FINANCIAL WORLD
BY CONTROLLING THE DISBURSEMENT OF BILLIONS OF DOLLARS.
SHE SAID: "YOU'RE ADDRESSING THE BASEBALL
LAWYERS?" 1111
BASEBALL'S "OPENING DAY" MAY NOT BE ON THE
CALENDAR YET. BUT THE TRUTH IS, THE CALENDAR OFFERS
EACH OF US MANY "OPENING DAYS" -- CONVENIENT LAUNCH
POINTS FOR A FRESH START. SOMETIMES IT IS A NEW DAY, A
NEW YEAR. NOW, IT'S A NEW DECADE -- A DECADE BORN AMID
SHOUTS OF JOY AND TRIUMPH, A DECADE FULL OF HOPE,
BARRELLING WITH CONFIDENCE TOWARDS A NEW CENTURY AND A
NEW ERA.
- 2 -
THE ROLL CALL IS EXCITING, EXHILARATING,
ACCELERATING. WE CALL IT THE "REVOLUTION OF '89," BUT
IN POLAND, IT TOOK ABOUT 10 YEARS. THEN IN HUNGARY
ABOUT 10 MONTHS. EAST GERMANY, 10 WEEKS.
CZECHOSLOVAKIA, 10 DAYS. AND BULGARIA AND ROMANIA
RIGHT BEHIND.
SIX NATIONS IN 6 MONTHS. AND FROM 6 DIFFERENT
TONGUES WE HEARD THE SAME ONE WORD -- FREEDOM. THE
PEOPLE OF CENTRAL EUROPE BELIEVED IT. THEY FOUGHT FOR
IT. AND THEY DESERVE THE CREDIT.
BUT TAKE THAT WORD "FREEDOM" SOMETIME, PICK IT UP
OUT OF THE NEWSPRINT AND TURN IT OVER. AND LOOK ON THE
BACK. MORE OFTEN THAN NOT, YOU'LL FIND THE SAME PROUD
LABEL THAT ADORNS THE PRODUCTS YOU PRODUCE: "MADE IN
AMERICA."
- 3 -
EIGHT YEARS AGO, RONALD REAGAN STOOD BEFORE THIS
VERY GROUP AND ISSUED A BOLD AND SIMPLE CHALLENGE. HE
SAID: "AMERICA CAN SERVE AS THE CATALYST FOR AN ERA OF
UNIMAGINED HUMAN FREEDOM AND DIGNITY." III AND THE
CRY OF THAT GREAT PRESIDENT BECAME THE "SHOUT HEARD
'ROUND THE WORLD." III
BACK HERE, ESPECIALLY IN WASHINGTON, THERE MAY BE
SOME STILL PLAGUED BY DOUBT. 11 MAYBE IN WASHINGTON.
BUT NOT IN WARSAW. ASKED IF RADIO FREE EUROPE HAD BEEN
IMPORTANT TO DEMOCRACY IN POLAND, LECH WALESA RESPONDED
WITH A QUESTION OF HIS OWN: "WOULD THERE BE EARTH
WITHOUT THE SUN?"
MAYBE IN WASHINGTON. BUT NOT IN WENCESLAUS
SQUARE. LAST MONTH VACLAV HAVEL PRAISED OUR RESOLVE AS
"DEFENDER [S] OF FREEDOM," TELLING CONGRESS THAT
CZECHOSLOVAKIA PROBABLY WOULDN'T EXIST TODAY IF IT
HADN'T BEEN FOR THE ATLANTIC ALLIANCE.
AND NO QUOTES ARE NEEDED TO TELL YOU THE ROLE OF
AMERICAN PERSISTENCE AND AMERICAN COURAGE IN STANDING
FOR LIBERTY IN PANAMA AND NICARAGUA. 1111
- 4 -
YES, THESE ARE HEADY TIMES. BUT THE GOOD NEWS
ISN'T ONLY OVERSEAS. BECAUSE THE REVOLUTION OF '89
MARKS THE TRIUMPH NOT ONLY OF FREE IDEAS -- BUT ALSO
FREE MARKETS. 11 AND WHEN IT COMES TO FREE MARKETS,
AMERICA CONTINUES TO LEAD THE WAY. III
HERE AGAIN, THERE ARE DOUBTERS. SOME WHO WORRY
ABOUT A SLOWDOWN. TRUE, OUR ECONOMY IS NOT PERFECT,
AND I DON'T WANT TO PAINT AN UNREALISTIC PICTURE. BUT
LOOK AT THE FACTS: THE U.S. ECONOMY IS THE LARGEST,
STRONGEST, MOST PRODUCTIVE ECONOMY ON EARTH. OUR
STANDARD OF LIVING IS ONE-THIRD HIGHER THAN THAT OF
WEST GERMANY OR JAPAN. WITH LESS THAN FIVE PERCENT OF
THE WORLD'S PEOPLE, IN 1988 AMERICANS ACCOUNTED FOR
MORE THAN 25 PERCENT OF THE WORLD'S PRODUCTION. OUR
G.N.P. IS MORE THAN TWO AND A HALF TIMES THAT OF THE
WORLD'S NO. 2 ECONOMY -- JAPAN.
AND WHEN A SMALL PERCENTAGE OF PEOPLE PRODUCE A
HUGE PERCENTAGE OF WEALTH, THERE'S A WORD FOR IT. IT'S
CALLED "PRODUCTIVITY." AND IT'S SPELLED "U-S-A." III
- 5 -
THANKS IN NO SMALL PART TO THE COMMITMENT AND
IMAGINATION OF THE PEOPLE AND COMPANIES REPRESENTED
HERE IN THIS ROOM, LAST YEAR AMERICAN EXPORTS OF GOODS
AND SERVICES HIT AN ALL-TIME HIGH -- OVER $600 BILLION.
AND TODAY, THE UNITED STATES IS ONCE AGAIN THE WORLD'S
NO.1 EXPORTER.
1989 MARKED OUR SEVENTH CONSECUTIVE YEAR OF
ECONOMIC GROWTH. TODAY, WE SEE GNP -- UP. EXPORTS --
UP. PERSONAL INCOME -- UP.
NOW, SOME WOULD SAY THAT EVERY ECONOMY HAS ITS UPS
AND DOWNS. BUT TAKE A LOOK AT WHAT'S DOWN:
THE TRADE DEFICIT IS DOWN. THE FEDERAL DEFICIT --
DOWN. THE PRIME RATE -- DOWN. AND LAST YEAR'S
UNEMPLOYMENT RATE -- DOWN -- THE LOWEST SINCE 1973.
AND THE GOOD NEWS IS REACHING A BROAD
CROSS-SECTION OF AMERICANS. 1989 UNEMPLOYMENT RATES
FOR BLACKS AND TEENAGERS WERE THE LOWEST SINCE THE
EARLY 1970'S. FOR HISPANICS, THE 1989 RATE WAS THE
LOWEST RECORDED SINCE THE GOVERNMENT BEGAN KEEPING
SEPARATE DATA FOR THIS GROUP IN 1980.
- 6 -
BUT WE'RE NOT JUST TALKING ABOUT STATISTICS AND
NUMBERS. AS DICK DARMAN RECENTLY REMINDED ME:
"TORTURE NUMBERS -- AND THEY'LL CONFESS TO
ANYTHING. " III
NO, WE'RE REALLY TALKING ABOUT PEOPLE -- PEOPLE
WHO HOLD THE TWO AND A HALF MILLION NEW JOBS CREATED
SINCE I TOOK OFFICE ONE YEAR AGO. FOR THEM, IT MEANS
FAMILIES AND FREEDOM. IT MEANS DIGNITY AND DECENCY.
BECAUSE TWO AND A HALF MILLION AMERICAN JOBS MEANS TWO
AND A HALF MILLION AMERICAN FUTURES. 111
((AND, SPEAKING OF THE FUTURE -- EARLIER I ASKED
ONE C.E.O. WHAT HE SEES AS THE MOST LUCRATIVE GROWTH
INDUSTRY IN THE 90'S. HE SAID: "BEING A LAWYER
CONNECTED WITH THE TRUMP CASE. ")) 1111
- 7 -
OUR PEOPLE AND OUR ECONOMY ARE STRONG. AND SO IS
OUR RESOLVE. IT WILL SOON BE TESTED, AS THE DRAMATIC
NEW CHANGES IN THE WORLD PRODUCE DRAMATIC NEW
CHALLENGES IN THE WORLD MARKET. WE MUST PREPARE NOW TO
MEET THESE CHALLENGES. MY ADMINISTRATION IS COMMITTED
TO AN AGENDA FOR GROWTH. IT IS FOUNDED UPON INVESTING
IN OUR FUTURE -- AND EVERY SOUND INVESTMENT HAS ITS
YIELD -- AMERICA'S YIELD IS THE "GROWTH DIVIDEND. " III
THE GROWTH DIVIDEND WILL PROVIDE AMERICANS WITH
JOBS AND OPPORTUNITY, HIGHER LIVING STANDARDS AND A
LEGACY OF PROSPERITY. so ACHIEVING SOLID AND
SUSTAINABLE GROWTH IS MY MOST FUNDAMENTAL DOMESTIC
PRIORITY. IT IS WHY I HAVE PROPOSED A STRONG AGENDA OF
GROWTH INITIATIVES.
THIS IS A MARATHON -- NOT A SPRINT. WE CAN'T
PRODUCE THE PRODUCTS NEEDED TO CAPTURE WORLD MARKETS BY
FOCUSING ON RESULTS ONE QUARTER AT A TIME. WE NEED TO
RETURN NOT ONLY TO YESTERDAY'S VALUES BUT ALSO
YESTERDAY'S THINKING -- THE "LONG-TERM THINKING" AND
"INVESTMENT-IN-THE-FUTURE" WAY OF DOING BUSINESS THAT
PRODUCED THE HEALTHY CLIMATE WE ENJOY TODAY.
- 8 -
FIRST, WE NEED TO BRING MORE OF AMERICA'S
INVESTMENT CAPITAL BACK INTO THE PRODUCTIVE ECONOMY.
LOWERING THE COST OF CAPITAL WILL ASSURE THE CONTINUED
INVESTMENT IN PRODUCTIVE ASSETS AND HUMAN RESOURCES
NEEDED TO KEEP OUR MANUFACTURING SECTOR THE MOST
COMPETITIVE IN THE WORLD.
THE BOTTOM LINE: IT'S TIME FOR CONGRESS TO PASS
THE CAPITAL GAINS TAX CUT. III HERE'S WHAT WE'RE UP
AGAINST: JAPAN -- ABOUT 5 PERCENT. SOUTH KOREA --
ZERO. TAIWAN -- ZERO. WEST GERMANY -- ZERO.
SINGAPORE -- ZERO. HONG KONG -- ZERO. THE LIST GOES
ON. WE NEED YOUR SUPPORT FOR THIS CRITICAL TAX CUT.
AMERICA WANTS IT DONE RIGHT. 11 AMERICA WANTS IT
DONE RESPONSIBLY. 11 AND AMERICA WANTS IT DONE
NOW. 1111
- 9 -
SECOND, WE NEED TO KEEP INTEREST RATES DOWN. 11
AND WE'RE COMMITTED TO HELPING THAT PROCESS BY GOING TO
THE HEART OF THE MATTER: MY ADMINISTRATION SUBMITTED A
BUDGET THAT WILL CONTINUE TO BRING THE FEDERAL DEFICIT
DOWN. AND TODAY I CALL ON THE BUDGET COMMITTEES TO
FULFILL THEIR LEGAL RESPONSIBILITIES -- AND COME UP
WITH A BUDGET RESOLUTION BY APRIL 1ST. THAT'S TWO
WEEKS AWAY. IT'S TIME TO ACT. IT'S TIME TO BRING THE
DEFICIT DOWN.
THIRD, AMERICA NEEDS A BOOSTER SHOT OF NEW IDEAS
ALONG WITH THE INFUSION OF NEW CAPITAL OUR TAX CUT WILL
PROVIDE. MATCHING INVESTMENT CAPITAL WITH
INTELLECTUAL CAPITAL. AND I CALL ON CONGRESS TO HELP
SHARPEN AMERICA'S COMPETITIVE EDGE: DOUBLE THE BUDGET
OF THE NATIONAL SCIENCE FOUNDATION. BRING FUNDING FOR
RESEARCH AND DEVELOPMENT TO A RECORD HIGH. MAKE THE
RESEARCH AND EXPERIMENTATION TAX CREDIT PERMANENT. AND
EXPAND THE EISENHOWER EDUCATION GRANTS FOR MATH AND
SCIENCE.
- 10 -
FOURTH, WE MUST STAND BEHIND OUR WORKFORCE AND THE
QUALITY OF OUR PRODUCTS. AMERICAN WORKERS TODAY ARE
GOOD WORKERS -- THE BEST IN THE WORLD. BUT WE NEED TO
KEEP PACE. THEIR CHILDREN ARE THE WORKERS OF TOMORROW,
AND WE OWE THEM A BETTER EDUCATION, WITH AN EMPHASIS ON
BASIC SKILLS, THE SCIENCES, MATH AND ENGINEERING.
WE'RE GOING TO DO THIS IN PARTNERSHIP WITH
AMERICA'S GOVERNORS AND SCHOOLS. GIVING THOSE IN NEED
A FAIR START THROUGH PROJECT HEAD START. RAISING OUR
HIGH SCHOOL GRADUATION RATES TO AT LEAST 90 PERCENT.
AND IN SCIENCE AND MATH OUR GOAL IS UNAMBIGUOUS --
FIRST IN THE WORLD BY THE YEAR 2000. III
WE'VE GOT TO RE-ESTABLISH STANDARDS AND RE-
ESTABLISH EXPECTATIONS -- THE KIND OF "QUALITY CONTROL"
so ESSENTIAL TO EVERYTHING AMERICA PRODUCES.
QUALITY IS SOMETHING YOU UNDERSTAND. AND QUALITY
IN MANUFACTURING AND QUALITY IN EDUCATION ARE
INTERTWINED.
- 11 -
THESE GOALS ARE AN IMPORTANT STEP TOWARDS
RESTORING QUALITY IN EDUCATION. THEY HELP FOCUS OUR
EFFORTS LESS ON INPUT -- THE AMOUNT OF MONEY THAT GOES
INTO OUR SCHOOLS AND MORE ON OUTPUT -- THE QUALITY
OF STUDENT THAT COMES OUT.
THIS KIND OF BASIC QUALITY CONTROL IS ALSO BASIC
TO PRODUCING QUALITY GOODS. AND IT'S BEING SPURRED ON
IN AMERICAN MANUFACTURING BY STEPS TAKEN WITHIN YOUR
OWN RANKS -- STEPS LIKE THE PRESTIGIOUS, HIGH-LEVEL
COMPETITION PRODUCED BY AWARDS LIKE THOSE NAMED AFTER
THE LATE MAC BALDRIGE.
IT'S ALSO SPURRED ON BY EFFORTS TO ENSURE A
LITERATE WORKFORCE. WE SALUTE MANUFACTURERS' EFFORTS
LIKE THE ONE BARBARA VISITED RECENTLY IN MICHIGAN -- A
MODEL OF COOPERATION BETWEEN THE FORD MOTOR COMPANY AND
THE UNITED AUTO WORKERS.
AND FINALLY, IT'S ESSENTIAL THAT WE HAVE A DRUG-
FREE WORKFORCE. ONE WAY TO STOP DRUGS AT WORK IS TO
MAKE SURE IT NEVER STARTS. PRE-EMPLOYMENT DRUG
SCREENING. BECAUSE IF YOU'RE NOT PART OF THE SOLUTION
-- YOU'RE PART OF THE PROBLEM.
- 12 -
A DRUG-IMPAIRED WORKFORCE IS ONE OF THE WAYS IN
WHICH AMERICAN COMPETITIVENESS CAN SUFFER FROM A
SELF-INFLICTED BURDEN. BUT IT'S NOT THE ONLY ONE.
SO NEXT, I CALL FOR CONGRESS TO ACT NOW TO MAKE
THE U.S. MARKETPLACE WORK BETTER THROUGH TWO BASIC
REFORMS: PRODUCT LIABILITY REFORM -- TO INCREASE OUR
COMPETITIVENESS WITHOUT COMPROMISING SAFETY. AND
ANTI-TRUST REFORM -- TO REMOVE OBSTACLES TO JOINT
PRODUCTION VENTURES BY U.S. COMPANIES. III
I AM ALSO CONVINCED THAT AMERICA'S GROWTH NEED NOT
COME AT THE EXPENSE OF THE ENVIRONMENT. OUR NATURAL
RESOURCES ARE INVALUABLE ASSETS -- AND LIKE ANY OTHER
ASSETS, THEY NEED TO BE MAINTAINED IN ORDER TO SUSTAIN
OUR ABILITY TO GROW.
- 13 -
FOR 13 YEARS, CONGRESS HAS BEEN UNABLE TO PASS A
NEW CLEAN AIR ACT. TWO WEEKS AGO, WE REACHED A
BREAKTHROUGH -- A BI-PARTISAN AGREEMENT TO UNTANGLE THE
WEB OF REGIONAL POLITICS THAT HAS STOPPED CLEAN AIR. I
COMPLIMENT THE SENATE LEADERSHIP FOR THEIR VERY
CONSTRUCTIVE NEGOTIATIONS. AND TODAY I CALL UPON THE
SENATE TO NOW PASS CLEAN AIR -- TO STAND BY THE
AGREEMENT -- AND TO PROTECT OUR ENVIRONMENT WITHOUT
SADDLING THE BILL WITH NEW SUBSIDIES AND CUMBERSOME
RULES. III
I MENTIONED SELF-INFLICTED BURDENS -- AND OF
COURSE -- NOT ALL OUR COMPETITIVE BURDENS ARE SELF-
INFLICTED. THERE ARE ALSO FOREIGN BARRIERS TO U.S.
EXPORTS WHICH MUST BE ADDRESSED. AND EARLIER THIS
MONTH PRIME MINISTER KAIFU AND I AGREED ON THE NEED FOR
ACTION ON WHAT WE CALL THE "STRUCTURAL IMPEDIMENTS
INITIATIVE" TO BREAK DOWN NON-TARIFF BARRIERS TO THE
JAPANESE MARKET. AND WE ARE PRESSING HARD TO GET THE
JAPANESE GOVERNMENT TO ADDRESS SPECIFIC TRADE
CATEGORIES. IIII
- 14 -
WE MUST MOVE AGGRESSIVELY TO OPEN MARKETS, NOT
JUST IN JAPAN BUT AROUND THE WORLD -- AND EXPAND OUR
SHARE OF GLOBAL TRADE. III
I STILL BELIEVE THAT -- FOR FAR-REACHING,
FUNDAMENTAL REFORM -- OUR BEST HOPE IS THE PROPOSALS
WE'VE MADE IN THE URUGUAY ROUND OF THE GATT
NEGOTIATIONS. WE'RE DETERMINED TO MAKE A LEVEL PLAYING
FIELD. LET AMERICA COMPETE IN AN ARENA OF FAIR
TRADE -- AND WE'LL TAKE ON ANYONE, ANYTIME,
ANYWHERE. 111
AS IN BERLIN, BARRIERS ARE COMING DOWN ALL OVER
THE WORLD. IT TOOK YEARS OF PERSISTENCE, BUT THE IDEAS
CHAMPIONED BY AMERICA -- FREEDOM, DEMOCRACY,
COMPETITION, AND INVESTMENT -- ARE FLOURISHING BECAUSE
THEY WORK, BECAUSE THEY ARE THE BEST. IT CAN BE THE
SAME FOR AMERICAN GOODS.
- 15 -
IN 1986, ON THE EVE OF JULY 4TH, A SINGLE BLUE
LASER SPLIT THE DARKNESS OVER NEW YORK HARBOR -- A
MAN-MADE LIGHTNING BOLT THAT RE-LIT THE TORCH OF A RE-
BORN STATUE OF LIBERTY. THE TORCH HAS BEEN HELD HIGH
EVER SINCE. AND TODAY THAT LIGHT CONTINUES TO INSPIRE
HOPE FROM PANAMA TO PRAGUE, FROM MOSCOW TO
MANAGUA. III
SOMEHOW, A RECENT BIT OF NEWS SEEMS FITTING: THE
BALD EAGLE -- THE AMERICAN EAGLE -- MAY SOON COME OFF
THE ENDANGERED SPECIES LIST. 11 LADIES AND GENTLEMEN
-- AMERICA IS BACK. 11 AND THIS TIME, AMERICA IS BACK
TO STAY. 111
GOD BLESS YOU. AND GOD BLESS THE U.S.A.
#
#
insert A
brond,
We need to keep interest
rates down. and we're
committed to helping
the heart of the
that process by to
BaD[WE MUST REDUCE THE DEFICIT.
My administration this
that will continue to do
submitted a plan budget
exactly that. and today
d call on the Budget
their bgal responsibilities
Committees to fulfill
BOLD
a Budget resolution by
and come up with
april 1st, HA that THAT's
TWO WEEKS AWAY.
—
THE WHITE HOUSE
WASHINGTON
butst committees ugal
fifie come up w/
usp Bud to res my 2 41,
Octimy
with away
]
THE WHITE HOUSE
WASHINGTON
1990 MAR 13 PM 6: 59
March 13, 1990
INFORMATION
MEMORANDUM FOR THE PRESIDENT
THROUGH:
CHRISS WINSTON
cw
FROM:
EDWARD McNALLY and
SUBJECT:
NATIONAL ASSOCIATION OF MANUFACTURERS SPEECH
I.
SUMMARY
Attached are draft remarks for Thursday morning's
address to the annual meeting of the National Association of
Manufacturers.
II. DISCUSSION
At 10:30 a.m. on Thursday, March 15, 1990, you are
scheduled to arrive onstage at the Ramada Renaissance at
Techworld in Washington to address approximately 500 executives
from manufacturing companies.
The address (17 minutes, TelePrompTer) emphasizes the
accomplishments and initiatives of your Administration on
economic and business issues. It is intended as a significant
address, taking stock of the full range of your Administration's
many initiatives to maintain America's strong economic
leadership.
The tone is upbeat in the first half, emphasizing the
good economic news and the spread of freedom around the world.
The second half emphasizes your broad-based,
comprehensive proposals for ensuring continued economic growth:
The capital gains tax cut, new funding for R & D, the new
education goals, and drug-free workplaces. Fundamental reform in
trade, product liability, and anti-trust laws. And a pitch for
the Clean Air compromise.
McNally/Simon
March 13, 1990
Draft Three (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. [ACKNOWLEDGEMENTS]
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary, about 10 months. East Germany, 10
weeks. Czechoslovakia, 10 days. And Bulgaria and Romania right
behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN THE U.S.A."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." 111 And the cry of that great President became the
"shout heard 'round the world." III
"MADE IN THE U.S.A." Back here, especially in Washington,
there may be some still plagued by the demons of doom and doubt.
Maybe in Washington. But not in Warsaw. Asked if Radio
Free Europe had been important to democracy in Poland, Lech
Walesa responded with a question of his own: "Would there be
Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in liberating the peoples of in
standing for liberty
Panama and Nicaragua. 1111
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets.
And when it comes to free markets, America continues to lead
the way. III
Here again, there are doubters. So let me speak as plainly
as I can: The U.S. economy is the largest, strongest, most
productive economy on Earth. With less than five percent of the
3
world's people, in 1988 Americans accounted for more than 25
percent of the world's production. Our G.N.P. is more than two
and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." III
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion.
Today, the United States is once again the world's No. 1
exporter. For our families, for our children, that helps keep
America's standard of living far and away the highest of any
(and our Handard of livis?
major industrialized country in the world One-third higher than
that of West Germany or Japan.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." 111
You who run the factories, you who sign the paychecks, you
No, will really talling about people -
people who hold
insert A
The with growth durdend will provide American
higher
with jobs and
opportunity, higher lows standards
and a legary of prosperity. If will provide
So achieving solid ad sustainable growth
is my most fendamental donestic priority.
It is why I have proposed a strong agenda
of youth initiatives.
the
4
new
know what it means to have created two and a half million jobs created
for them
since I took office one year ago. It means families and freedom.
It means dignity and decency. Because two and a half million
American jobs means two and a half million American futures. III
( (And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case. "))
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
America must prepare now to meet these challenges. Family
committed to
an agenda far growth
Administration is pressing forward with our plan to keep America
Bold
It is founded upon the investing in our future - and every sound
competitive, and to keep America's economy second to none. 111
investment has its yield- America yield stis the growth durdend.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in physical assets and human
resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
and "investment-in-the-future" way of doing business that
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
5
gains tax cut. III
America wants it done right. 11 America wants it done
responsibly. 11 And America wants it done NOW. 1111
Along with this infusion of new capital, Second, America needs a
booster shot of new ideas Matching investment capital with
intellectual capital. And I call on Congress to help sharpen
America's competitive edge,by acting on our new proposals.
Doubling the budget of the National Science Foundation. Bring Record-
toa record high
high funding for Research and Development. Making the Research
and Experimentation tax credit permanent. Ant70 percent expansion
of the Eisenhower education grants for math and science.
Third we must standbehind best we can offer
And as always, our workforce comes first. American workers
and the quality of own products.
today are good workers -- the best in the world. But we need to
keep pace. Their children are the workers of tomorrow, and we
owe them a better education, with more emphasis on basic skills,
the sciences, math and engineering.
We're going to do this in partnership with America's
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000. III
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
6
That why we need a literate workforce. And We salute
manufacturers¹ efforts like the one Barbara visited recently in
Michigan -- a model of cooperation between the Ford Motor Company
and the United Auto Workers.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after my old friend Mac Baldrige. It's also signed on
the late
Let me mention
by effort to exame Ip
There one final education goal -- maybe the most And finally
it's essential that
important. We need schools that are free from crime. Free from
we have
ading-
chaos. And that means -- free from drugs. III
free
the
workforce
And what's true for the American school goes double for the
American workplace. One way to stop drugs at work is to make
sure it never starts. Pre-employment drug screening. Because if
you're not part of the solution -- you're part of the problem.
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
# So next,
But it's not the only one. I call for Congress to act now to
make the U.S. marketplace work better through two basic reforms:
Product liability reform -- to increase our competitiveness
without compromising safety. And anti-trust reform -- to
remove obstacles to
7
encourage joint production ventures by U.S. companies. 111
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. III
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
Initiative" to break down non-tariff barriers to the Japanese
Chick
market. And we are pressing hard to open Japanese markets to
address specific trade categories. construction,
American satellites, telecommunications, super computers, forest
products, and yes, American semi-conductors. 1111
We must and will move aggressively to open markets and
expand our share of world trade. III
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
8
of the GATT negotiations. We're determined to make a level
playing field: Let America compete in an arena of fair trade --
and will take on anyone, anywhere.
and just like in the Olympics -- we'll always bring home our
share of gold. III
As in Berlin, barriers are coming down all over the world.
the ideas changioned by America
freedom,
It took years of persistence, but American ideas were accepted,
denocracy
competition
finally, because they work, because they are the best. It can be are
the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Sophia to Seoul, from
Moscow to Managua III
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. 111
Thank you for your warm greeting. God bless you. And God
bless the U.S.A.
#
#
#
THE WHITE HOUSE
WASHINGTON
March 14, 1990
INFORMATION
MEMORANDUM FOR THE PRESIDENT
THROUGH:
CHRISS WINSTON cw
FROM:
EDWARD MCNALLY our
SUBJECT:
REVISED NAT'L. ASSOC. OF MANUFACTURERS SPEECH
Attached is a set of revised remarks for tomorrow
morning's address to the annual meeting of the National
Association of Manufacturers. As Governor Sununu requested, this
draft reflects both your initial comments as well as those
provided by Roger Porter.
McNally/Simon
March 14, 1990
Draft Five (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. And I want to
salute your president -- Jerry Jasinowski.
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary about 10 months. East Germany, 10 weeks.
Czechoslovakia, 10 days. And Bulgaria and Romania right behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN AMERICA."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." 111 And the cry of that great President became the
"shout heard 'round the world."
Back here, especially in Washington, there may be some still
plagued by doubt. 11 Maybe in Washington. But not in Warsaw.
Asked if Radio Free Europe had been important to democracy in
Poland, Lech Walesa responded with a question of his own: "Would
there be Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in standing for liberty in
Panama and Nicaragua.
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets. 11 And when it
comes to free markets, America continues to lead the way. 111
Here again, there are doubters. Some who worry about a
slowdown. True, our economy is not perfect, and I don't want to
paint an unrealistic picture. But look at the facts: The U.S.
economy is the largest, strongest, most productive economy on
Earth. Our standard of living is one-third higher than that of
3
West Germany or Japan. With less than five percent of the
world's people, in 1988 Americans accounted for more than 25
percent of the world's production. Our G.N.P. is more than two
and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." 111
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion. And today, the United States is once again
the world's No.1 exporter.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." III
No, we're really talking about people -- people who hold the
two and a half million new jobs created since I took office one
year ago. For them, it means families and freedom. It means
dignity and decency. Because two and a half million American
4
jobs means two and a half million American futures. 111
((And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case. "))
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
We must prepare now to meet these challenges. My Administration
is committed to an agenda for growth. It is founded upon
investing in our future -- and every sound investment has its
yield -- America's yield is the "Growth Dividend." III
The growth dividend will provide Americans with jobs and
opportunity, higher living standards and a legacy of prosperity.
So achieving solid and sustainable growth is my most fundamental
domestic priority. It is why I have proposed a strong agenda of
growth initiatives.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in productive assets and
human resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
5
and "investment-in-the-future" way of doing business that
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
gains tax cut. III
America wants it done right. 11 America wants it done
responsibly. 11 And America wants it done NOW.
Second, we need to keep interest rates down. 11 And we're
committed to helping that process by going to the heart of the
matter: My Administration submitted a budget that will continue
to bring the federal deficit down. And today I call on the
Budget Committees to fulfill their legal responsibilities -- and
come up with a Budget resolution by April 1st. That's two weeks
away. It's time to act. It's time to bring the deficit down. III
Third, America needs a booster shot of new ideas along with
the infusion of new capital our tax cut will provide. Matching
investment capital with intellectual capital. And I call on
Congress to help sharpen America's competitive edge: double the
budget of the National Science Foundation. Bring funding for
Research and Development to a record high. Make the Research and
Experimentation tax credit permanent. And expand the Eisenhower
education grants for math and science.
Fourth, we must stand behind our workforce and the quality
of our products. American workers today are good workers -- the
best in the world. But we need to keep pace. Their children are
the workers of tomorrow, and we owe them a better education, with
an emphasis on basic skills, the sciences, math and engineering.
6
We're going to do this in partnership with America's
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000. III
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after the late Mac Baldrige.
It's also spurred on by efforts to ensure a literate
workforce. We salute manufacturers' efforts like the one Barbara
visited recently in Michigan -- a model of cooperation between
the Ford Motor Company and the United Auto Workers.
And finally, it's essential that we have a drug-free
workforce. One way to stop drugs at work is to make sure it
never starts. Pre-employment drug screening. Because if you're
7
not part of the solution -- you're part of the problem.
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one.
so next, I call for Congress to act now to make the U.S.
marketplace work better through two basic reforms: Product
liability reform -- to increase our competitiveness without
compromising safety. And anti-trust reform -- to remove
obstacles to joint production ventures by U.S. companies. III
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. III
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
8
Initiative" to break down non-tariff barriers to the Japanese
market. And we are pressing hard to get the Japanese government
to address specific trade categories. IIII
We must move aggressively to open markets, not just in Japan
but around the world -- and expand our share of global trade. III
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and we'll take on anyone, anytime, anywhere. III
As in Berlin, barriers are coming down all over the world.
It took years of persistence, but the ideas championed by America
-- freedom, democracy, competition, and investment -- are
flourishing because they work, because they are the best. It can
be the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Moscow to Managua. III
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. III
God bless you. And God bless the U.S.A.
#
#
TO POTUS 3/14
McNally/Simon
March 14, 1990
Draft Four (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. And I want to
salute your president -- Jerry Jasinowski.
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary about 10 months. East Germany, 10 weeks.
Czechoslovakia, 10 days. And Bulgaria and Romania right behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN THE U.S.A."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." III And the cry of that great President became the
"shout heard 'round the world."
"MADE IN THE U.S.A." Back here, especially in Washington,
there may be some still plagued by the demons of doom and doubt.
Maybe in Washington. But not in Warsaw. Asked if Radio
Free Europe had been important to democracy in Poland, Lech
Walesa responded with a question of his own: "Would there be
Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in standing for liberty in
Panama and Nicaragua.
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets. 11 And when it
comes to free markets, America continues to lead the way. 111
Here again, there are doubters. So let me speak plainly:
The U.S. economy is the largest, strongest, most productive
economy on Earth. Our standard of living is one-third higher
than that of West Germany or Japan. With less than five percent
3
of the world's people, in 1988 Americans accounted for more than
25 percent of the world's production. Our G.N.P. is more than
two and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." III
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion. And today, the United States is once again
the world's No.1 exporter.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." III
No, we're really talking about people -- people who hold the
two and a half million new jobs created since I took office one
year ago. For them, it means families and freedom. It means
dignity and decency. Because two and a half million American
jobs means two and a half million American futures. III
4
((And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case."))
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
We must prepare now to meet these challenges. My Administration
is committed to an agenda for growth. It is founded upon
investing in our future -- and every sound investment has its
yield -- America's yield is the "Growth Dividend." III
The growth dividend will provide Americans with jobs and
opportunity, higher living standards and a legacy of prosperity.
So achieving solid and sustainable growth is my most fundamental
domestic priority. It is why I have proposed a strong agenda of
growth initiatives.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in physical assets and human
resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
and "investment-in-the-future" way of doing business that
5
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
gains tax cut.
America wants it done right. America wants it done
responsibly. 11 And America wants it done NOW. 1111
Second, we need to keep interest rates down. And we're
committed to helping that process by going to the heart of the
matter: My Administration submitted a budget that will continue
to bring the federal deficit down. And today I call on the
Budget Committees to fulfill their legal responsibilities -- and
come up with a Budget resolution by April 1st. That's two weeks
away. It's time to act. It's time to bring the deficit down.
Third, America needs a booster shot of new ideas along with
the infusion of new capital our tax cut will provide. Matching
investment capital with intellectual capital. And I call on
Congress to help sharpen America's competitive edge: double the
budget of the National Science Foundation. Bring funding for
Research and Development to a record high. Make the Research and
Experimentation tax credit permanent. And expand the Eisenhower
education grants for math and science.
Fourth, we must stand behind our workforce and the quality
of our products. American workers today are good workers -- the
best in the world. But we need to keep pace. Their children are
the workers of tomorrow, and we owe them a better education, with
an emphasis on basic skills, the sciences, math and engineering.
We're going to do this in partnership with America's
6
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000. III
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after the late Mac Baldrige.
It's also spurred on by efforts to ensure a literate
workforce. We salute manufacturers' efforts like the one Barbara
visited recently in Michigan -- a model of cooperation between
the Ford Motor Company and the United Auto Workers.
And finally, it's essential that we have a drug-free
workforce. One way to stop drugs at work is to make sure it
never starts. Pre-employment drug screening. Because if you're
not part of the solution -- you're part of the problem.
7
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one.
So next, I call for Congress to act now to make the U.S.
marketplace work better through two basic reforms: Product
liability reform -- to increase our competitiveness without
compromising safety. And anti-trust reform -- to remove
obstacles to joint production ventures by U.S. companies. 111
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. 111
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
Initiative" to break down non-tariff barriers to the Japanese
8
market. And we are pressing hard to open Japanese markets to
address specific trade categories.
We must and will move aggressively to open markets and
expand our share of world trade. 111
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and we'll take on anyone, anytime, anywhere. 111
As in Berlin, barriers are coming down all over the world.
It took years of persistence, but the ideas championed by America
-- freedom, democracy, competition, and investment -- are
flourishing because they work, because they are the best. It can
be the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Moscow to Managua. III
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. III
God bless you. And God bless the U.S.A.
#
#
#
THE WHITE HOUSE
WASHINGTON
March 14, 1990
INFORMATION
MEMORANDUM FOR THE PRESIDENT
THROUGH:
CHRISS WINSTON cw
FROM:
EDWARD McNALLY our
SUBJECT:
REVISED NAT'L. ASSOC. OF MANUFACTURERS SPEECH
Attached is a set of revised remarks for tomorrow
morning's address to the annual meeting of the National
Association of Manufacturers. As Governor Sununu requested, this
draft reflects both your initial comments as well as those
provided by Roger Porter.
McNally/Simon
March 14, 1990
Draft Five (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. And I want to
salute your president -- Jerry Jasinowski.
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary about 10 months. East Germany, 10 weeks.
Czechoslovakia, 10 days. And Bulgaria and Romania right behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN AMERICA."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." III And the cry of that great President became the
"shout heard 'round the world." 111
Back here, especially in Washington, there may be some still
plagued by doubt. 11 Maybe in Washington. But not in Warsaw.
Asked if Radio Free Europe had been important to democracy in
Poland, Lech Walesa responded with a question of his own: "Would
there be Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in standing for liberty in
Panama and Nicaragua. 1111
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets. 11 And when it
comes to free markets, America continues to lead the way. III
Here again, there are doubters. Some who worry about a
slowdown. True, our economy is not perfect, and I don't want to
paint an unrealistic picture. But look at the facts: The U.S.
economy is the largest, strongest, most productive economy on
Earth. Our standard of living is one-third higher than that of
3
West Germany or Japan. With less than five percent of the
world's people, in 1988 Americans accounted for more than 25
percent of the world's production. Our G.N.P. is more than two
and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." III
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion. And today, the United States is once again
the world's No.1 exporter.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." 111
No, we're really talking about people -- people who hold the
two and a half million new jobs created since I took office one
year ago. For them, it means families and freedom. It means
dignity and decency. Because two and a half million American
4
jobs means two and a half million American futures. III
((And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case. ")) 1111
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
We must prepare now to meet these challenges. My Administration
is committed to an agenda for growth. It is founded upon
investing in our future -- and every sound investment has its
yield -- America's yield is the "Growth Dividend." III
The growth dividend will provide Americans with jobs and
opportunity, higher living standards and a legacy of prosperity.
So achieving solid and sustainable growth is my most fundamental
domestic priority. It is why I have proposed a strong agenda of
growth initiatives.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in productive assets and
human resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
5
and "investment-in-the-future" way of doing business that
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
gains tax cut. 111
America wants it done right. 11 America wants it done
responsibly. 11 And America wants it done NOW. 1111
Second, we need to keep interest rates down. 11 And we're
committed to helping that process by going to the heart of the
matter: My Administration submitted a budget that will continue
to bring the federal deficit down. And today I call on the
Budget Committees to fulfill their legal responsibilities -- and
come up with a Budget resolution by April 1st. That's two weeks
away. It's time to act. It's time to bring the deficit down.
Third, America needs a booster shot of new ideas along with
the infusion of new capital our tax cut will provide. Matching
investment capital with intellectual capital. And I call on
Congress to help sharpen America's competitive edge: double the
budget of the National Science Foundation. Bring funding for
Research and Development to a record high. Make the Research and
Experimentation tax credit permanent. And expand the Eisenhower
education grants for math and science.
Fourth, we must stand behind our workforce and the quality
of our products. American workers today are good workers -- the
best in the world. But we need to keep pace. Their children are
the workers of tomorrow, and we owe them a better education, with
an emphasis on basic skills, the sciences, math and engineering.
6
We're going to do this in partnership with America's
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000. III
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after the late Mac Baldrige.
It's also spurred on by efforts to ensure a literate
workforce. We salute manufacturers' efforts like the one Barbara
visited recently in Michigan -- a model of cooperation between
the Ford Motor Company and the United Auto Workers.
And finally, it's essential that we have a drug-free
workforce. One way to stop drugs at work is to make sure it
never starts. Pre-employment drug screening. Because if you're
7
not part of the solution -- you're part of the problem.
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one.
So next, I call for Congress to act now to make the U.S.
marketplace work better through two basic reforms: Product
liability reform -- to increase our competitiveness without
compromising safety. And anti-trust reform -- to remove
obstacles to joint production ventures by U.S. companies. 111
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. III
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
8
Initiative" to break down non-tariff barriers to the Japanese
get the
govt
market. And we are pressing hard to open Japanese markets to
address specific trade categories. 1111
but around
not just in Japan
the world
We must and will global move aggressively to open markets and
expand our share of world trade. III
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and we'll take on anyone, anytime, anywhere. III
As in Berlin, barriers are coming down all over the world.
It took years of persistence, but the ideas championed by America
-- freedom, democracy, competition, and investment -- are
flourishing because they work, because they are the best. It can
be the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Moscow to Managua. III
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. III
God bless you. And God bless the U.S.A.
#
#
#
121374SS
Document No.
WHITE HOUSE STAFFING MEMORANDUM
90 MAR 14 P2:44
DATE: 3/14/90
ACTION/CONCURRENCE/COMMENT DUE BY:
---
SUBJECT: PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
ACTION FYI
ACTION FYI
VICE PRESIDENT
MCCLURE
SUNUNU
NEWMAN
SCOWCROFT
PORTER
DARMAN
ROGICH
BATES
UNTERMEYER
CARD
ROGERS
CICCONI
WINSTON
DEMAREST
PINKERTON
FITZWATER
BOSKIN
GRAY
HAGIN
REMARKS:
The attached has been forwarded to the President.
RESPONSE:
James W. Cicconi
Assistant to the President
and Deputy to the Chief of Staff
Ext. 2702
THE WHITE HOUSE
WASHINGTON
March 14, 1990
1990 MAR in
M
10:
INFORMATION
56
MEMORANDUM FOR THE PRESIDENT
THROUGH:
CHRISS WINSTON cw
FROM:
EDWARD MCNALLY
and
SUBJECT:
NATIONAL ASSOCIATION OF MANUFACTURERS SPEECH
I. SUMMARY
Attached are draft remarks for Thursday morning's
address to the annual meeting of the National Association of
Manufacturers.
II. DISCUSSION
At 10:30 a.m. on Thursday, March 15, 1990, you are
scheduled to arrive onstage at the Ramada Renaissance at
Techworld in Washington to address approximately 500 executives
from manufacturing companies.
The address (16 minutes, TelePrompTer) emphasizes the
accomplishments and initiatives of your Administration on
economic and business issues. It is intended as a significant
address, taking stock of the full range of your Administration's
many initiatives to maintain America's strong economic
leadership.
The tone is upbeat in the first half, emphasizing the
good economic news and the spread of freedom around the world.
The second half emphasizes your broad-based,
comprehensive proposals for ensuring continued economic growth:
The capital gains tax cut, new funding for R & D, the new
education goals, and drug-free workplaces. Fundamental reform in
trade, product liability, and anti-trust laws. And a pitch for
the Clean Air compromise.
McNally/Simon
March 14, 1990
Draft Four (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. And I want to
salute your president -- Jerry Jasinowski.
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary about 10 months. East Germany, 10 weeks.
Czechoslovakia, 10 days. And Bulgaria and Romania right behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN THE U.S.A."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." 111 And the cry of that great President became the
"shout heard 'round the world. 111
"MADE IN THE U.S.A." Back here, especially in Washington,
there may be some still plagued by the demons of doom and doubt.
Maybe in Washington. But not in Warsaw. Asked if Radio
Free Europe had been important to democracy in Poland, Lech
Walesa responded with a question of his own: "Would there be
Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in standing for liberty in
Panama and Nicaragua.
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets. 11 And when it
comes to free markets, America continues to lead the way. 111
Here again, there are doubters. So let me speak plainly:
The U.S. economy is the largest, strongest, most productive
economy on Earth. Our standard of living is one-third higher
than that of West Germany or Japan. With less than five percent
3
of the world's people, in 1988 Americans accounted for more than
25 percent of the world's production. Our G.N.P. is more than
two and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." 111
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion. And today, the United States is once again
the world's No.1 exporter.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." III
No, we're really talking about people -- people who hold the
two and a half million new jobs created since I took office one
year ago. For them, it means families and freedom. It means
dignity and decency. Because two and a half million American
jobs means two and a half million American futures. III
4
((And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case.")) 1111
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
We must prepare now to meet these challenges. My Administration
is committed to an agenda for growth. It is founded upon
investing in our future -- and every sound investment has its
yield -- America's yield is the "Growth Dividend." 111
The growth dividend will provide Americans with jobs and
opportunity, higher living standards and a legacy of prosperity.
So achieving solid and sustainable growth is my most fundamental
domestic priority. It is why I have proposed a strong agenda of
growth initiatives.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in physical assets and human
resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
and "investment-in-the-future" way of doing business that
5
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
gains tax cut.
America wants it done right. 11 America wants it done
responsibly. 11 And America wants it done NOW. 1111
Second, we need to keep interest rates down. 11 And we're
committed to helping that process by going to the heart of the
matter: My Administration submitted a budget that will continue
to bring the federal deficit down. And today I call on the
Budget Committees to fulfill their legal responsibilities -- and
come up with a Budget resolution by April 1st. That's two weeks
away. It's time to act. It's time to bring the deficit down. III
Third, America needs a booster shot of new ideas along with
the infusion of new capital our tax cut will provide. Matching
investment capital with intellectual capital. And I call on
Congress to help sharpen America's competitive edge: double the
budget of the National Science Foundation. Bring funding for
Research and Development to a record high. Make the Research and
Experimentation tax credit permanent. And expand the Eisenhower
education grants for math and science.
Fourth, we must stand behind our workforce and the quality
of our products. American workers today are good workers -- the
best in the world. But we need to keep pace. Their children are
the workers of tomorrow, and we owe them a better education, with
an emphasis on basic skills, the sciences, math and engineering.
We're going to do this in partnership with America's
6
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000.
III
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after the late Mac Baldrige.
It's also spurred on by efforts to ensure a literate
workforce. We salute manufacturers' efforts like the one Barbara
visited recently in Michigan -- a model of cooperation between
the Ford Motor Company and the United Auto Workers.
And finally, it's essential that we have a drug-free
workforce. One way to stop drugs at work is to make sure it
never starts. Pre-employment drug screening. Because if you're
not part of the solution -- you're part of the problem.
7
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one.
So next, I call for Congress to act now to make the U.S.
marketplace work better through two basic reforms: Product
liability reform -- to increase our competitiveness without
compromising safety. And anti-trust reform -- to remove
obstacles to joint production ventures by U.S. companies. III
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. III
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
Initiative" to break down non-tariff barriers to the Japanese
8
market. And we are pressing hard to open Japanese markets to
address specific trade categories.
We must and will move aggressively to open markets and
expand our share of world trade. III
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and we'll take on anyone, anytime, anywhere. 111
As in Berlin, barriers are coming down all over the world.
It took years of persistence, but the ideas championed by America
-- freedom, democracy, competition, and investment -- are
flourishing because they work, because they are the best. It can
be the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Moscow to Managua. III
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. III
God bless you. And God bless the U.S.A.
#
#
#
THE WHITE HOUSE
WASHINGTON
March 13, 1990
INFORMATION
MEMORANDUM FOR THE PRESIDENT
THROUGH:
CHRISS WINSTON
cw
FROM:
EDWARD McNALLY EMW
SUBJECT:
NATIONAL ASSOCIATION OF MANUFACTURERS SPEECH
I. SUMMARY
Attached are draft remarks for Thursday morning's
address to the annual meeting of the National Association of
Manufacturers.
II. DISCUSSION
At 10:30 a.m. on Thursday, March 15, 1990, you are
scheduled to arrive onstage at the Ramada Renaissance at
Techworld in Washington to address approximately 500 executives
from manufacturing companies.
24
The address (17 minutes, TelePrompTer) emphasizes the
accomplishments and initiatives of your Administration on
economic and business issues. It is intended as a significant
address, taking stock of the full range of your Administration's
many initiatives to maintain America's strong economic
leadership.
The tone is upbeat in the first half, emphasizing the
good economic news and the spread of freedom around the world.
The second half emphasizes your broad-based,
comprehensive proposals for ensuring continued economic growth:
The capital gains tax cut, new funding for R & D, the new
education goals, and drug-free workplaces. Fundamental reform in
trade, product liability, and anti-trust laws. And a pitch for
the Clean Air compromise.
McNally/Simon
March 13, 1990
Draft Three (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. [ACKNOWLEDGEMENTS]
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?" 1111
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary, about 10 months. East Germany, 10
weeks. Czechoslovakia, 10 days. And Bulgaria and Romania right
behind.
Six nations in 6 months. And from 6 different tongues we
heard the same one word -- FREEDOM. The people of Central Europe
believed it. They fought for it. And they deserve the credit.
But take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN THE U.S.A."
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." III And the cry of that great President became the
"shout heard 'round the world." III
"MADE IN THE U.S.A." Back here, especially in Washington,
there may be some still plagued by the demons of doom and doubt.
Maybe in Washington. But not in Warsaw. Asked if Radio
Free Europe had been important to democracy in Poland, Lech
Walesa responded with a question of his own: "Would there be
Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling Congress that Czechoslovakia probably wouldn't
exist today if it hadn't been for the Atlantic alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in liberating the peoples of
Panama and Nicaragua. 1111
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets.
And when it comes to free markets, America continues to lead
the way. 111
Here again, there are doubters. So let me speak as plainly
as I can: The U.S. economy is the largest, strongest, most
productive economy on Earth. With less than five percent of the
3
world's people, in 1988 Americans accounted for more than 25
percent of the world's production. Our G.N.P. is more than two
and a half times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A." 111
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion.
Today, the United States is once again the world's No. 1
exporter. For our families, for our children, that helps keep
America's standard of living far and away the highest of any
major industrialized country in the world. One-third higher than
that of West Germany or Japan.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. And last year's unemployment rate --
down -- the lowest since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." III
You who run the factories, you who sign the paychecks, you
4
know what it means to have created two and a half million jobs
since I took office one year ago. It means families and freedom.
It means dignity and decency. Because two and a half million
American jobs means two and a half million American futures. III
((And, speaking of the future -- earlier I asked one C.E.O.
what he sees as the most lucrative growth industry in the 90's.
He said: "Being a lawyer connected with the Trump case."))
Our people and our economy are strong. And so is our
resolve. It will soon be tested, as the dramatic new changes in
the world produce dramatic new challenges in the world market.
America must prepare now to meet these challenges. And my
Administration is pressing forward with our plan to keep America
competitive, and to keep America's economy second to none. III
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in physical assets and human
resources needed to keep our manufacturing sector the most
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the "long-term thinking"
and "investment-in-the-future" way of doing business that
produced the healthy climate we enjoy today.
The bottom line: It's time for Congress to pass the capital
5
gains tax cut. 111
America wants it done right. 11 America wants it done
responsibly. 11 And America wants it done NOW.
Along with this infusion of new capital, America needs a
booster shot of new ideas. Matching investment capital with
intellectual capital. And I call on Congress to help sharpen
America's competitive edge by acting on our new proposals.
Doubling the budget of the National Science Foundation. Record-
high funding for Research and Development. Making the Research
and Experimentation tax credit permanent. A 70 percent expansion
of the Eisenhower education grants for math and science.
And as always, our workforce comes first. American workers
today are good workers -- the best in the world. But we need to
keep pace. Their children are the workers of tomorrow, and we
owe them a better education, with more emphasis on basic skills,
the sciences, math and engineering.
"
We're going to do this in partnership with America's
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000. 111
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
6
That's why we need a literate workforce. And we salute
manufacturers! efforts like the one Barbara visited recently in
Michigan -- a model of cooperation between the Ford Motor Company
and the United Auto Workers.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes into our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after my old friend Mac Baldrige.
There's one final education goal -- maybe the most
important. We need schools that are free from crime. Free from
chaos. And that means -- free from drugs.
#
And what's true for the American school goes double for the
American workplace. One way to stop drugs at work is to make
sure it never starts. Pre-employment drug screening. Because if
you're not part of the solution -- you're part of the problem.
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one. I call for Congress to act now to
make the U.S. marketplace work better through two basic reforms:
Product liability reform -- to increase our competitiveness
without compromising safety. And anti-trust reform -- to
7
encourage joint production ventures by U.S. companies. III
I am also convinced that America's growth need not come at
the expense of the environment. Our natural resources are
invaluable assets -- and like any other assets, they need to be
maintained in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And today I call upon the
Senate to now pass Clean Air -- to stand by the agreement -- and
to protect our environment without saddling the bill with new
subsidies and cumbersome rules. III
I mentioned self-inflicted burdens -- and of course -- not
all our competitive burdens are self-inflicted. There are also
foreign barriers to U.S. exports which must be addressed. And
earlier this month Prime Minister Kaifu and I agreed on the need
for action on what we call the "Structural Impediments
Initiative" to break down non-tariff barriers to the Japanese
market. And we are pressing hard to open Japanese markets to
American satellites, telecommunications, super computers, forest
products, and yes, American semi-conductors.
We must and will move aggressively to open markets and
expand our share of world trade. III
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
8
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and just like in the Olympics -- we'll always bring home our
share of gold. III
As in Berlin, barriers are coming down all over the world.
It took years of persistence, but American ideas were accepted,
finally, because they work, because they are the best. It can be
the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Sophia to Seoul, from
Moscow to Managua
Somehow, a recent bit of news seems fitting: The bald eagle
-- the American eagle -- may soon come off the endangered species
list. 11 Ladies and gentlemen -- America is back. 11 And this
time, America is back to stay. III
Thank you for your warm greeting. God bless you. And God
bless the U.S.A.
#
#
#
Circled ones
are outstanding
care
x
There was
primotation
a mistakess
on Porter.
WAITING FOR
McClure
Porter
STEP
Rinkerton
cwedits
McNally/Simon
March 13, 1990
Draft Two (B:NAM)
PRESIDENTIAL REMARKS: NATIONAL ASSOCIATION OF MANUFACTURERS
RAMADA RENAISSANCE AT TECHWORLD
THURSDAY, MARCH 15, 1990, 10:30 A.M.
Thank you, Dan [KRUMM, N.A.M. CHAIRMAN]. [ACKNOWLEDGEMENTS]
I told Barbara I'd be spending some time with people who
have risen to the top of the financial world by controlling the
disbursement of billions of dollars. She said: "You're
addressing the baseball lawyers?"
Baseball's "Opening Day" may not be on the calendar yet.
But the truth is, the calendar offers each of us many "opening
days" -- convenient launch points for a fresh start. Sometimes
it is a new day, a new year. Now, it's a new decade -- a decade
born amid shouts of joy and triumph, a decade full of hope,
barrelling with confidence towards a new century and a new era.
The roll call is exciting, exhilarating, accelerating. We
call it the "Revolution of '89," but in Poland, it took about 10
years. Then in Hungary, about 10 months. East Germany, 10
weeks. Czechoslovakia, 10 days. And Bulgaria and Romania right
behind.
Six nations in six months. And from six different tongues
we heard the same one word -- FREEDOM.
But Take that word "FREEDOM" sometime, pick it up out of the
newsprint and turn it over. And look on the back. More often
than not, you'll find the same proud label that adorns the
products you produce: "MADE IN THE U.S.A."
The perpose Central Eastem Europe
believed it
they fought fouit
they diserve the credit
2
Eight years ago, Ronald Reagan stood before this very group
and issued a bold and simple challenge. He said: "America can
serve as the catalyst for an era of unimagined human freedom and
dignity." 111 And the cry of that great President became the
"shout heard 'round the world."
"MADE IN THE U.S.A." Back here, especially in Washington,
there may be some still plagued by the demons of doom and doubt,
some who wonder whether that proud label marks American goods and
American ideas as best In the world
Maybe in Washington. But not in Warsaw. Asked if Radio
Free Europe had been important to democracy in Poland, Lech
Walesa responded with a question of his own: "Would there be
Earth without the Sun?"
Maybe in Washington. But not in Wenceslaus Square. Last
month Vaclav Havel praised our resolve as "defender[s] of
freedom," telling a joint session of Congress that Czechoslovakia
probably wouldn't exist today if it hadn't been for the Atlantic
alliance.
And no quotes are needed to tell you the role of American
persistence and American courage in liberating the peoples of
Panama and Nicaragua.
Yes, these are heady times. But the good news isn't only
overseas. Because the Revolution of '89 marks the triumph not
only of free ideas -- but also free markets.
And when it comes to free markets, America continues to lead
the way. III
3
Here again, there are decitions and doubters. So let me speak
as plainly as I can.
The U.S. economy is the largest, strongest, most productive
economy on Earth. With less than five percent of the world's
people, in 1988 Americans accounted for more than 25 percent of
the world's production. Our G.N.P. is more than two and a half
times that of the world's No. 2 economy -- Japan.
And when a small percentage of people produce a huge
percentage of wealth, there's a word for it. It's called
"productivity." And it's spelled "U-S-A."
Thanks in no small part to the commitment and imagination of
the people and companies represented here in this room, last year
American exports of goods and services hit an all-time high --
over $600 billion.
Today, the United States is once again the world's No. 1
exporter. For our families, for our children, that helps keep
America's standard of living far and away the highest of any
major industrialized country in the world. One-third higher than
that of West Germany or Japan.
1989 marked our seventh consecutive year of economic growth.
Today, we see GNP -- up. Exports -- up. Personal income -- up.
Now, some would say that every economy has its ups and
downs. But take a look at what's down:
The trade deficit is down. The federal deficit -- down.
The prime rate -- down. Mortgage rates down from last
lost
4
summer: highs And the unemployment rate -- down - the lowest
since 1973.
But we're not just talking about statistics and numbers. As
Dick Darman recently reminded me: "Torture numbers -- and
they'll confess to anything." 111
You who run the factories, you who sign the paychecks, you
know what it means to have created two and a half million jobs
since I took office one year ago. It means families and freedom
It means dignity and decency. Because two and a half million
million
American jobs means two and a half American futures. 111
Shet
(
Earlier I asked one future C.E.O. what he sees as the most
lucrative growt industry in the 90 S. He said: "Being a lawyer
connected with the Trump case."))
Our people It and our economy are strong. And so is our
resolve. They will be tested in the world economy of the future,
as the dramatic new changes in the world produce dramatic new
challenges in the world market. America must prepare now to meet
these challenges. And my Administration is pressing forward with
our plan to keep America competitive, and to keep America's
economy second to none. 111
And it sure doesn't mean there's a recession ahead.
First, we need to bring more of America's investment capital
back into the productive economy. Lowering the cost of capital
will assure the continued investment in physical assets and human
resources needed to keep our manufacturing sector the most
5
competitive in the world -- a world where virtually none of our
competitors fully taxes capital gains.
This is a marathon -- not a sprint. We can't produce the
products needed to capture world markets by focusing on results
one quarter at a time. We need to return not only to yesterday's
values but also yesterday's thinking -- the long-term thinking
way business
and "investment in the future" that produced the healthy climate
we enjoy today.
The bottom line: It's time for Congress to pass the capital
gains tax cut. III
America wants it done right. America wants it done
responsibly. 11 And America wants it done NOW.
Along with this infusion of new capital, America needs a
booster shot of new ideas. Matching investment capital with
intellectual capital. And I'm calling on Congress to help
sharpen America's competitive edge by acting on our new
proposals. Doubling the budget of the National Science
Foundation. Record-high funding for Research and Development.
Making the Research and Experimentation tax credit permanent. A
70 percent expansion of the Eisenhower education grants for math
and science.
And as always, our workforce comes first. American workers
today are good workers -- the best in the world. But we need to
keep pace. Their children are the workers of tomorrow, and we
owe them a better education, with more emphasis on basic skills,
the sciences, math and engineering.
6
We're going to do this in partnership with America's
governors and schools. Giving those in need a fair start through
Project Head Start. Raising our high school graduation rates to
at least 90 percent. And in science and math our goal is
unambiguous -- first in the world by the Year 2000.
We've got to re-establish standards and re-establish
expectations -- the kind of "quality control" so essential to
everything America produces.
Quality is something you understand. And quality in
manufacturing and quality in education are intertwined.
That's why we need a literate workforce. And we and salute
manufacturers' efforts like the one Barbara visited recently in
Michigan -- a model of cooperation between the Ford Motor Company
and the United Auto Workers.
These goals are an important step towards restoring quality
in education. They help focus our efforts less on input -- the
amount of money that goes in our schools -- and more on output
-- the quality of student that comes out.
This kind of basic quality control is also basic to
producing quality goods. And it's being spurred on in American
manufacturing by steps taken within your own ranks -- steps like
the prestigious, high-level competition produced by awards like
those named after my old friend Mac Baldridge.
There's one final education goal -- maybe the most
important. We need schools that are free from crime. Free from
chaos. And that means -- free from drugs. III
7
And what's true for the American school goes double for the
American workplace. And one way to stop drugs in the workplace
is to make sure they never start. Pre-employment drug screening.
Because if you're not part of the solution --- you're part of the
problem.
A drug-impaired workforce is one of the ways in which
American competitiveness can suffer from a self-inflicted burden.
But it's not the only one. I call for Congress to act
immediately to make the U.S. marketplace work better through two
basic reforms: Product liability reform -- to increase our
competitiveness without compromising safety. And anti-trust
reform -- to encourage joint production ventures by U.S.
companies. III
also
I convinced that America's growth need not come at the
expense of the environment. Our natural resources are invaluable
assets -- and like any other assets, they need to be maintained
in order to sustain our ability to grow.
For 13 years, Congress has been unable to pass a new Clean
Air Act. Two weeks ago, we reached a breakthrough -- a bi-
partisan agreement to untangle the web of regional politics that
has stopped clean air. I compliment the Senate leadership for
their very constructive negotiations. And I call upon the Senate
to now pass Clean Air -- to stand by the agreement -- and to
protect our environment without saddling the bill with new
subsidies and cumbersome rules.
8
But of course, not all our competitive burdens are self-
inflicted. There are also foreign barriers to U.S. exports which
must be addressed. And earlier this month Prime Minister Kaifu
and I agreed on the need for action on what we call the
"Structural Impediments Initiative" to break down non-tariff
barriers to the Japanese market. Today ) in Tokyo Secretary of
)
Commerce Bob Mosbacher is pressing hard on our behalf.
And today in Washington our Trade Representative, Carla
Hills, is pressing hard to open Japanese markets to American
satellites, American telecommunications, American super
computors, American forest products, and yes, American semi-
conductors.
We must and will move aggressively to open markets and
expand our share of world trade.
I still believe that -- for far-reaching, fundamental reform
-- our best hope is the proposals we've made in the Uruguay Round
of the GATT negotiations. We're determined to make a level
playing field. Let America compete in an arena of fair trade --
and just like in the Olympics -- we'll always bring home our
share of gold.
As in Berlin, barriers are coming down all over the world.
That is today's trend. And that is history's verdict
And it is no time to turn our backs on the newly prosperous
overseas markets that American courage and imagination helped
produce It took years of persistence, but American ideas were
9
accepted, finally, because they work, because they are the best.
It can be the same for American goods.
In 1986, on the eve of July 4th, a single blue laser split
the darkness over New York harbor -- a man-made lightning bolt
that re-lit the torch of a re-born Statue of Liberty. The torch
has been held high ever since. And today that light continues to
inspire hope from Panama to Prague, from Sophia to Seoul, from
Moscow to Managua
III
Overseas America is at peace At home, America is
confident.
And somehow, a recent bit of news seems fitting
Because today we hear that the bald eagle -- the American eagle
-- may soon come off the endangered species list.
Ladies and gentlemen -- America is back. 11 And this time,
America is back to stay. III
Thank you for your warm greeting. God bless you. And God
bless the U.S.A.
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